LIZ: CBS IN FOR A MAJOR LINEUP
CHANGE AND WE'RE NOT TALKING
ABOUT THE FALL TV SEASON.
HEAD HOFRNO LES MOONVES
SEEMINGLY NEARING HIS DEPARTURE
FROM THE BROADCAST NETWORK.
EVEN THOUGH INVESTORS DON'T YET
KNOW WHO WILL REPLACE FOR THE
LONG TERM THE LONG-TIME CHAIRMAN
AND CEO, SHARES ARE CLIMBING TO
SECOND PLACE AT THE VERY TOP OF
THE S&P, UP NEARLY THREE AND A
THIRD PERCENT ON CLAIMS THE
REDSTONE FAMILY MAY DROP
ATTEMPTS TO MERGE CBS WITH
CHARLIE GASPARINO HAS BEEN
DIGGING INTO THIS LIKE ONLY
MOONVES IS COMING TO THE END.
>> LAST NIGHT IT LEAKED ON
SETTLEMENT DEAL AND MOONVES'
FATE WOULD BE CONSIDERED
SEPARATE FROM THE SETTLEMENT,
YOU KNEW HE WAS DONE.
WE SHOULD POINT OUT A COUPLE
THINGS THE BOARD IS WEIGHING.
THEY ARE WORRIED ABOUT A
SHAREHOLDER LAWSUIT, MAJOR
SHAREHOLDER LAWSUITS, IF THEY
GIVE HIM A LOT OF MONEY.
IF YOU ARE GIVING A CEO HAS TO
EXIT AMID A SEXUAL HARASSMENT
SCANDAL --
LIZ: THEY WANT A CLAW BACK.
>> I UNDERSTAND HE WANTS MORE
THAN $100 MILLION, YOU COULD GET
SOME MAJOR SHAREHOLDER LAWSUITS.
I KNOW FROM MY SOURCES THEY ARE
WORRIED ABOUT THAT.
WE SHOULD POINT OUT THEY ARE
ALSO NEGOTIATING MOONVES' EXIT
AND POSSIBLE RESTRICTIONS ON HOW
MUCH CONTROL SHERRY HAS OVER THE
COMPANY.
THAT'S NEW.
THEY DON'T WANT HER -- THEY WANT
THIS COMPANY TO REMAIN SEPARATE.
THEY ESSENTIALLY WANT TO SELL TO
SOMEBODY ELSE, NOT MERGE WITH
VIACOM.
THAT'S ONE OF THE REASONS THE
STOCK IS UP.
HERE'S SOMETHING INTERESTING.
CBS OFFICIALS BELIEVE THEY HAVE
LEVERAGE HERE, THE BOARD, IN
NEGOTIATING WITH SHERRY.
APPARENTLY -- NOT APPARENTLY,
THERE IS A TAPE OF SUMNER
LET'S SAY.
IT LENDS SOME CREDENCE TO CBS'
ALLEGATIONS THAT SHERRY REDSTONE
HID OR DIDN'T PROPERLY DISCLOSE
THE MENTAL STATE OR
DETERIORATING MENTAL STATE OF
HER FATHER, THE GUY WHO CREATED
THIS WHOLE MEDIA EMPIRE, WHEN
THIS WHOLE BATTLE BEGAN, SO CBS
THINKS THAT TAPE BOLSTERS THEIR
CASE IN KEEPING CBS SEPARATE
FROM REDSTONES AS THEY NEGOTIATE
THIS THING OUT.
HERE'S SOMETHING ELSE THAT'S
INTERESTING.
CBS HAS CONSULTED WITH A
HEADHUNTING FIRM ABOUT FINDING
MOONVES' REPLACEMENT.
IN MY VIEW, THAT MEANS, AND SOME
PEOPLE AT CBS SAY THE INTERIM
CEO WILL BE THE C.O.O., MOONVES'
CLOSE LIEUTENANT BUT IF THEY ARE
LOOKING FOR SOMEONE ELSE, YOU
THINK THEY WANT SOMEONE ELSE IN
THAT JOB.
THIS IS THE STATE OF PLAY.
IT'S HAPPENING FAST.
THINGS ARE IN FLUX.
MAYBE WE WILL FIND OUT SOMETHING
AFTER THE CLOSING BELL, MAYBE
TOMORROW.
SETTLEMENT, APPARENTLY SO IS
>> WE UNDERSTAND FROM PEOPLE
CLOSE TO THE COMPANY BOTH THE
S.E.C. AND TESLA'S LAWYERS, AND
MOST LAWYERS CONCEDE THIS IS
LIKELY TO HIT A SETTLEMENT
BECAUSE THE S.E.C. APPARENTLY
DOES NOT WANT TO LITIGATE THIS
CASE.
NOW, WHAT THAT SETTLEMENT IS
EXACTLY, OVER WHAT CHARGES,
ESSENTIALLY PUTTING OUT A FALSE
STATEMENT, MULTIPLE FALSE
STATEMENTS, ON ITS FACE IS A
10-B5 FRAUD CHARGE, IT'S
PROBLEMATIC, BUT YOU CAN SETTLE
IT DOWN.
THERE'S A MILLION WAYS TO SETTLE
THIS DOWN.
I THINK BOTH SIDES AGREE THAT'S
PROBABLY WHERE THIS THING IS
GOING.
THIS WHITE HOUSE CONTROVERSY
OVER -- EVERYBODY IS CALLING ME
UP ON WALL STREET ASKING WHO IS
THE LEAKER OF THE MEMO, WHO
LIZ: I HAVE ONLY BEEN INVITED IN
THE WHITE HOUSE ONCE FOR A
CHRISTMAS PARTY AND I DIDN'T
STEAL THE NAPKINS.
>> IT'S GETTING CRAZY OVER
THERE.
REMINDS ME OF THE SCENE IN
"GODFATHER" LIKE YOU THINK --
YOU JUST THINK TRUMP IS GOING TO
WALK UP TO SOMEBODY, WHO KNOWS
WHO, AND GIVE HIM THE KISS OF
FREDO -- I KNEW IT WAS YOU,
GENERAL KELLY, ALL ALONG.
LIZ: I DON'T KNOW IF YOU SAW
THIS, ELON MUSIC ACTUALLY USED
HIS TWITTER ACCOUNT LAST NIGHT
NOT TO ATTACK ANYBODY BUT TO
CHEER THAT TESLA HAD NABBED THE
TOP THREE SPOTS IN OVERALL
ELECTRIC VEHICLE SALES FOR
AUGUST.
YOU MIGHT HAVE KNOWN THAT
NEW CAR LOTS TAKEN BY THE
COMPANY THAT SAYS IT CAN DEDUCE